Department Responsibility: Keeping Records of Research Subject Payments
Research subject payments to an individual are tax reportable if they total $600 or more annually.
When payments are made to research subjects, the custodian of the funds MUST maintain a record of the subjects being paid. This record must include:
- the full legal name of the subject
- the subject's Social Security Number
- the subject’s permanent address (not a work address)
- the amount given to the subject
- the payment date and/or service period
- the subject's signature showing receipt of the payment if paid in cash
This information should be kept secured and confidential in your department files, but may be reviewed by state or internal auditors.
If a one time research subject payment of $50 or less is being made to a research subject...
... the requirement to obtain a Social Security number is waived. However, the University of Washington strongly encourages researchers to request Social Security numbers for all research subject payments. Tax identification number should always be obtained for research subjects who are known to be foreign nationals, regardless of the dollar amount.
If Research Subject payments equal to or exceed $600 annually
... the departmental custodian of the funds (field advance, revolving fund, ProCard, gift cards) is responsible for reporting those payments to Financial Services Tax Desk for purposes of 1099MISC reporting to the Internal Revenue Services.
In these situations, the custodian must report the following information to the Financial Services Tax Desk by the end of the first week in January, immediately following the calendar year of payment:
- the full legal name of research subject
- the subject's Social Security Number (SSN)
- the subject's permanent address (include city, state and zip code)
- the amount of given to the subject
- payment reference numbers and payment dates
- brief description of the type of payment
- name, phone number and department name of person preparing the report
Note: Because the information contains sensitive material, it must be transmitted to AP in an Excel spreadsheet (see spreadsheet format here) saved on a flash drive and delivered to the AP Tax Desk either:
- in person (preferred method)
- sent by campus mail at Box 351130 in a sealed envelope addressed to AP Tax Desk and marked private and confidential.